ITEM 152-134-R0911 ATTACHMENT PAGE 1 Memo To: From: Date: Re: Board of Regents Kevin McRae, Associate Commissioner August 26, 2011 Item 152-134-R0911 I recommend approval of the FY 2012-13 labor agreement between the Montana University System and the University of Montana – Missoula College of Technology Faculty Association. The agreement covers approximately 59 employees in Missoula. The agreement includes across-the-board base salary increases in October 2011 of one percent plus $500 per year and in October 2012 of two percent plus $500 per year. The major revisions to the new labor agreement are: Normal salary increases as described above (1% + $500 on 10-1-11; and 2% + $500 on 10-1-12). Continuation of current merit program (current number of awards and current dollar value of awards). The parties agree in a memorandum of understanding to meet and confer in the year ahead on the subject of summer compensation with a focus on reaching some type of mutual agreement on the subject. Neither the union nor the administration could compel the other party to agree to a particular demand or to make a particular concession. The parties agree that summer compensation is a priority due to funding problems in the university system. Therefore, the parties will work cooperatively to develop a strategy for summer compensation and explore whether there are any mutually agreeable ideas for improvements to the status quo. The agreement also includes a number of other housekeeping items that have no fiscal impact.